NIFCO : Summary of Consolidated Financial Results for First Half of Fiscal Year Ending March 31, 2019 -Highlight-

Corporate Name: Nifco Inc. (URL:https://www.nifco.com/en/)

October 30, 2018

Stock Exchange: TSE 1st section; Code Number: 7988

President & CEO: Toshiyuki Yamamoto

Inquiries to: Junji Honda, Executive Managing Officer & CFO ([phone])

Shihanki-Hokokusho to be submitted on: November 8, 2018

Dividend disbursement to be started on: December 3, 2018

Highlight

Summary of Consolidated Financial Results for First Half of Fiscal Year Ending March 31, 2019

(These figures are rounded down to the nearest million yen.)

1. Consolidated Financial Results for First Half of FY2018 (April 1 to September 30, 2018)

(1) Consolidated financial results

(The percentages denote year-on-year change.)

Net sales		Operating profit		Ordinary profit
Million yen	%	Million yen	%	Million yen	%
First Half FY2018 First Half FY2017	139,484 131,413	6.1 1.5	14,547 15,185	-4.2 -5.9	15,199 15,302	-0.7 7.3

6,481 million yen in First Half FY2018 (-41.2%),

Note: Comprehensive income:

11,017million yen in First Half FY2017 (-%)

Profit attributable to owners of parent		Profit attributable to owners of parent per share	Diluted profit attributable to owners of parent per share
Million yen	%	Yen	Yen
First Half FY2018 First Half FY2017	11,729 10,690	9.7 11.7	112.59 105.05	108.57 97.98

Note: The Company conducted a 2-for-1 common stock split on April 1, 2018. Profit attributable to owners of parent per share and

Diluted profit attributable to owners of parent per share have been calculated as if this stock split had taken place at the beginning of the previous fiscal year.

(2) Consolidated financial position

Total assets	Net assets	Net assets ratio	Net assets per share
Million yen	Million yen	%	Yen
First Half FY2018 FY2017	287,734 278,547	160,088 157,361	54.7 55.5	1,511.48 1,484.19

Reference: Equity capital: 157,463 million yen in First Half FY2018, 154,607 million yen in FY2017

Note: The Company conducted a 2-for-1 common stock split on April 1, 2018. Net assets per share have been calculated as if this stock split had taken place at the beginning of the previous fiscal year.

2. Dividends

Dividend per share
At end of first quarter	At end of second quarter	At end of third quarter	At end of FY	FY
Yen	Yen	Yen	Yen	Yen
FY2017 FY2018	― ―	60.00 31.00	―	64.00	124.00
FY2018 (forecast)	―	31.00	62.00

Note:	1.	Revision of the latest forecast of cash dividends: None
2.	The Company conducted a 2-for-1 common stock split on April 1, 2018. Dividend per share for FY 2017 is the actual
amount before the stock split.

3. Forecasts for FY2018 (April 1, 2018 to March 31, 2019)

(The percentages denote year-on-year change.)

Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent		Profit attributable to owners of parent per share
Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
FY2018	275,000	1.4	31,300	1.3	30,600	0.7	21,800	2.8	209.27

Note: Revision of the latest forecasts: None

4. Others

• (1) Changes in principal subsidiaries during the fiscal year (changes in specific subsidiaries, which involve changes in the scope of consolidation): None

  New consolidation： －company (company name)： － Exclusion： －company (company name )：－

• (2) Adoption of specific accounting policies for quarterly consolidated financial statement: Yes

• (3) Changes in the principles and procedures of accounting concerning the preparation of consolidated financial statements and in the methods of presentation, etc. (stated in "Changes in Significant Accounting Policies for Preparing Consolidated Financial Statements")

• 1) Changes following the revision of accounting standards, etc.:

• 2) Changes other than 1):

• 3) Changes in accounting estimates:

• 4) Retrospective restatement:

None None None None

(4)Number of shares outstanding (common stocks)

• 1) Number of shares outstanding at end of the period (including treasury stocks): 107,508,954 in First Half FY2018; 107,508,954 in FY2017.

• 2) Number of treasury stocks at end of the period: 3,330,455 in First Half FY2018; 3,338,967 in FY2017.

• 3) Average number of shares outstanding during the period: 104,173,941 in First Half FY2018; 101,764,925 in First Half FY2017.

Note: The Company conducted a 2-for-1 common stock split on April 1, 2018. Number of shares outstanding (common stocks) has been calculated as if this stock split had taken place at the beginning of the previous fiscal year.

*Quarterly financial results reports are exempt from quarterly review conducted by certificated public accountants or an audit corporation.

* Proper use of forecasts and other special instructions

Forward-looking statements or projections included in this document, including earnings projections, are based on currently available information and certain premises that are judged to be rational at the time of this writing. Actual results may differ greatly from the forecast figures depending on various factors.

(Consolidated Financial Statements)

Segment Information

[Business segment information]

- For the First Half of FY2017 (April 1 to September 30, 2017)

(Unit: Millions of yen)

Reportable segments			Others	Total	Elimination & corporate expenses	Consolidated figures
Industrial plastic parts & components	Bedding & furniture	Total
Net sales and segment profit (loss) Net sales (1) Sales to customers (2) Inter-segment sales	119,554 26	11,793 0	131,348 26	65 43	131,413 69	- (69)	131,413 -
Total	119,580	11,793	131,374	108	131,483	(69)	131,413
Segment profit (loss)	16,199	1,740	17,939	25	17,965	(2,779)	15,185

- For the First Half of FY2018 (April 1 to September 30, 2018)

(Unit: Millions of yen)

Reportable segments			Others	Total	Elimination & corporate expenses	Consolidated figures
Industrial plastic parts & components	Bedding & furniture	Total
Net sales and segment profit (loss) Net sales (1) Sales to customers (2) Inter-segment sales	127,445 29	11,980 -	139,425 29	58 141	139,484 170	- (170)	139,484 -
Total	127,474	11,980	139,454	200	139,654	(170)	139,484
Segment profit (loss)	15,639	1,748	17,387	52	17,439	(2,892)	14,547